Sponsorship of sports teams by gambling companies and brands has become a common practice in today’s sports industry. This trend has been on the rise in recent years and has been fueled by the growing popularity of online gambling. This surge in sponsorship revenue was driven by partnerships with betting firms and technology companies, with sports gambling companies, casinos, and lotteries seeing the most significant spike in sponsorship agreements.
NFL is Hitting Sponsorship Records
In the case of the NFL, the league has been able to earn almost $2 billion in sponsorships with the help of tech, gambling, and alcohol companies. These sponsorships have allowed companies to promote their brands to millions of fans who follow the NFL and its teams like the Baltimore Ravens.
The league’s partnership deals usually run from three to seven years and cost a minimum of $10 million per year for smaller companies, with more prominent firms paying over $200 million per year.
One of the most lucrative partnerships for the NFL is definitely online sports betting brands, which the league embraced back in 2018 when sports gambling was legalized statewide. When discussing gambling partnerships, it is essential to note that gambling and sport have always been closely linked, and this relationship is becoming even more intimate.
This has been underlined by the increasing number of sports-inspired slot games online. These games allow eligible fans to enjoy the thrill of gambling while still feeling connected to their favorite sports teams and athletes. This has been a successful strategy to incorporate slot machines, as this aspect of casinos and gambling has been an extremely popular and profitable part of the business.
Though the NFL is primarily sponsored by betting companies and other tech giants, it’s still not in business with crypto and NFT businesses.
Major League Baseball
In the case of Major League Baseball, the league has also secured sponsorships from a range of companies, including gambling and alcohol brands. These sponsorships have helped provide additional revenue streams for the league while allowing companies to promote their brands to a broader audience. For example, the Baltimore Orioles have secured a ten-year partnership with Fanatics, a sports merchandise company that will handle all their merchandise and e-commerce business.
In 2022, the league’s sponsorship revenue reached an estimated $1.19 billion, marking a 5.6% increase from the previous year. The biggest spenders were banks, beer, insurance technology, automotive, telecom, apparel, betting, lottery, and gambling companies.
Some of the most notable sponsors for MLB include Anheuser-Busch InBev, T-Mobile, Nike, Coca-Cola, and Pepsi. In March, Capital One signed a five-year, $125 million deal to become the league’s official bank and credit card partner. Additionally, crypto has begun to make its mark on the league, unlike the NFL, with $22 million in deals with MLB, the New York Mets, the Texas Rangers, and the Washington Nationals.
The sports industry continues to be a lucrative market for companies looking to promote their brands. With the rise of online gambling, casino brands and sports betting firms have become major players in the sponsorship game. Regardless of the changes in the industry, it’s clear that the partnership between sports and corporate sponsorship is here to stay.
